YM Lee

Uncertainty in the cryptocurrency market is emerging as President Donald Trump's inauguration approaches. On the 15th (local time), cryptocurrency specialist media The Block cited Deribit data, stating, "As President-elect Donald Trump's second inauguration approaches, volatility in the Bitcoin derivatives market is also expected to increase." According to data from the derivatives exchange Deribit, there are signs of a short to medium-term bearish outlook. Currently, Bitcoin put option bets have increased to account for 40% of all open interest (OI). Sean Dawson, head of research at Deribit, explained, "Until last week, Bitcoin put option bets were only at the level of 20% of total OI. As Trump's inauguration approaches, traders are also preparing for potential downside risks."

Ripple, which has recently shown a tremendous upward trend, is expected to surpass its all-time high of $3.8. On the 15th (local time), the cryptocurrency specialist media Cointelegraph reported, "Ripple has led the cryptocurrency market by rising about 12% in the last 24 hours. Ripple has shown an increase of about 466% since November 2024, outperforming Bitcoin." This year, Ripple has shown performance that overwhelms Bitcoin (BTC), which led the market last year. The XRP/BTC chart, which allows a simple comparison of the price performance of Ripple and Bitcoin, broke the downtrend line for the first time in 8 years, surpassing 0.000015 in the last week of November 2024. Analysts believe that Ripple, continuously showing better performance than Bitcoin, may surpass the all-time high ratio of 0.000245 recorded in May 2017. Stef is Crypto analyst stated, "Based on strong trading volume, Ripple is expected to show outstanding performance. In the coming months, Ripple is expected to perform at least 530% better than Bitcoin. It could surpass the all-time high of $3.84," he said.

Global cryptocurrency exchange Binance announced on the 15th that it will start the PROM/USDT perpetual futures contract. Binance stated through its official channel, "Starting from 12:30 PM (UTC) on the 15th, we will support the PROM/USDT perpetual futures contract with a maximum leverage of 75x."

The blockchain-based gaming infrastructure platform GameBuild (GAME) has made its entry into Bithumb following Coinone. On the 15th (local time), GameBuild announced, "We aim to drive sustainable value creation based on a new economic model through our gaming infrastructure platform that provides a seamless blockchain integration experience for gamers, developers, and advertisers." GameBuild is a gaming infrastructure platform with approximately 18,000 global users, supporting 10 games through a partnership with Sei Network, and plans to release a game engine equipped with AI features using an SDK in the future. GameBuild announced its listing on Coinone on the 9th and today on Bithumb's KRW market.

Investment management firm Osprey Funds has submitted an application to the U.S. Securities and Exchange Commission (SEC) to convert its Bitcoin fund product into a spot Exchange-Traded Fund (ETF). According to a report by Cointelegraph on the 15th (local time), Osprey Funds stated, "We will submit an S-1 registration statement to the U.S. Securities and Exchange Commission to convert the fund product into a spot ETF as quickly as possible." Osprey Funds' Bitcoin fund product OBTC pursued an asset acquisition deal with Bitwise Asset Management, but the deal fell through due to regulatory approval issues.

IoTeX, a company building a Decentralized Physical Infrastructure Network (DePIN), has partnered with the digital asset platform Fireblocks. On the 15th (local time), IoTeX announced that it has integrated Fireblocks into its Layer 1 blockchain. Fireblocks is an enterprise platform that helps manage digital asset operations and build businesses based on blockchain technology. Through this collaboration, institutional investors and companies worldwide can now more easily access IoTeX's native token IOTX and assets based on the IoTeX blockchain. IoTeX can now securely store, manage, and transfer native IOTX and IoTeX-based tokens by leveraging Fireblocks' advanced infrastructure. Raullen Chai, CEO of IoTeX, emphasized, "By utilizing Fireblocks, we are providing institutional-grade security and accessibility to the IoTeX ecosystem, expanding token liquidity channels and adoption. This is a significant advancement that demonstrates our commitment to connecting blockchain with real-world DePIN applications."

Global cryptocurrency exchange Binance announced on the 15th that it will terminate the REEF/USDT perpetual futures contract. Binance stated through its official channel, "On the 22nd at 9:00 AM (UTC), an automatic settlement will be conducted for the REEF/USDT perpetual futures contract, and once the settlement is completed, the contract will be delisted."

Global cryptocurrency exchange Binance announced on the 15th (local time) that it will discontinue 12 spot trading pairs. The delisted spot trading pairs include BNX/BTC, CATI/BNB, CATI/BRL, CHZ/FDUSD, DOGS/BNB, Gitcoin/BTC, HIGH/BTC, LISTA/BRL, NOT/BRL, Pixels/BTC, TKO/BTC, Trust Wallet, Twitfi/BTC, among others, and trading will cease from 3:00 UTC on the 17th.

Major Ethereum Update After One Year 'Pectra Upgrade' Underway Focus on 'User Experience'... Gas Fees Payable with USDC Validator Effective Balance Expanded from 32ETH to 2048ETH Network Data Infrastructure Improved with 'Verkle Tree' The major update 'Pectra' for Ethereum (ETH), the leading altcoin, is about a month away. As this upgrade is the first since the 'Dencun' update in March last year, it is drawing significant attention from virtual asset (cryptocurrency) investors. Today, let's take a closer look at the changes the Pectra update will bring to the Ethereum network ecosystem. Focus on 'User Experience'... Gas Fees Payable with USDC Pectra is a portmanteau of the execution layer update Prague and the consensus layer update Electra. The Pectra upgrade includes more than 10 EIP proposals and is scheduled to be implemented in two phases for stable network operation: February this year and 2026 (date unspecified). Through the major Pectra update, the Ethereum network is expected to undergo significant changes in three main areas: △optimization of user experience △protocol improvement △expansion of data availability. Among the upgrade contents, the change that virtual asset investors and ecosystem participants will feel most directly is the optimization of user experience through 'Account Abstraction (AA)'. Account abstraction means abstracting the concept of accounts into one at the upper layer of the protocol to overcome functional limitations restricted by the type of Ethereum account. It supports users to use the chain more conveniently by connecting externally owned accounts (EOA) that transfer Ethereum and smart contract accounts (CA) used with separate contract codes. Once account abstraction is implemented, the way users interact with the network fundamentally changes. Users will not need to hold Ethereum for network gas fees. Additionally, since the gas fees can be covered by the dApp operators, the chain accessibility for new users is expected to improve significantly. Through the account abstraction included in the Pectra update, Ethereum plans to lower the entry barrier for users, allowing more users to easily access the network, thereby leading the large-scale adoption of blockchain. Validator Effective Balance Expanded from 32ETH to 2048ETH The Pectra upgrade also includes the 'EIP-7251' proposal to increase the effective staking balance of validators from 32ETH to 2048ETH for protocol improvement. In the existing system, the Ethereum stake of validators was limited to a maximum of 32ETH, so even if stakers had a large Ethereum balance in their accounts, they could only receive rewards equivalent to 32ETH. Any stake exceeding the cap of 32ETH was automatically partially withdrawn, requiring separate management in other accounts. Therefore, large-scale Ethereum stakers had to stake their holdings in multiple accounts, each with 32ETH, to gain additional profits. However, with the Pectra update, if EIP-7251 passes, it will be possible to operate the stake of up to 64 existing validators as one, enabling efficient validator operation in various areas such as network P2P messages, aggregated BLS signatures, and memory. Additionally, large-scale stakers will be able to accumulate rewards in their accounts without the need for complex processes, enjoying the benefits of compound interest. Binance Research evaluated, "EIP-7251 is a proposal that can address the major challenges of the current Ethereum staking system, such as scalability, cost efficiency, and flexibility for large stake holders, maintaining the balance of network efficiency and decentralization through network scalability improvement and cost reduction." The EIP-7002 proposal plans to introduce execution layer-triggered withdrawals. It will support stakers to fully control funds from the withdrawal credential address, enabling both partial withdrawals and full exits. Previously, this could only be controlled by the validator's active key, which could lead to potential trust issues with different institutional stakers and staking services, but the EIP-7002 proposal can resolve these issues. Network Data Infrastructure Improved with 'Verkle Tree' The Ethereum Pectra includes several proposals for expanding the availability of transaction data on the network. The most notable among them is the introduction of the 'Verkle Tree'. Verkle Tree is a portmanteau of vector commitment and the existing data processing method Merkle Tree, developed to improve the Ethereum data structure. Verkle Tree applies vector commitments, which ensure the order of values in a block array, to the Merkle Tree method that compresses all information into a simple representation. Unlike Merkle Tree, it does not need to include sibling nodes in the proof process, allowing for a more concise storage while maintaining data verification capability. With the application of Verkle Tree, the hardware requirements for node operation are reduced, enabling chain operation that is 6-8 times more efficient than the existing Merkle Tree. This is expected to allow Ethereum to build a cheaper and faster network infrastructure in the long term. Additionally, the Pectra update includes △EIP-7692 for enhancing smart contract efficiency △EIP-6110 for introducing fully automated staking pools △EIP-2935 for implementing special storage slot functions to improve verification efficiency △EIP-7594 for introducing Peer Data Availability Sampling (PeerDAS) to optimize Layer 2 and improve transaction processing and scalability. In February, the Ethereum network is set to undergo significant changes with the Pectra upgrade. Do you think Ethereum can fend off competitors like Solana (SOL) and rise again through Pectra? The internet has been continuously evolving for over 30 years since its popularization in the 1990s. After the era of Web 1.0, where only limited information was accessible unilaterally, and the Web 2.0 era, centered on platforms where the public directly creates and shares information, we are now living in the Web 3.0 era, where everyone can become an operator using blockchain technology-based decentralized protocols. 'Blockchain Web 3.0 Report' aims to deliver accurate and in-depth information about the blockchain market and the transition to Web 3.0 to our readers.

HashKey's Middle East subsidiary, HashKey MENAFZE, announced that it has secured in-principle approval for a virtual asset service provider license from the Dubai Virtual Assets Regulatory Authority (VARA). On the 13th (local time), HashKey stated in an official announcement, "With this regulatory approval, HashKey Group is able to strengthen its position as a leader in the virtual asset industry, providing safe and transparent services globally." Once the VASP final approval is secured, HashKey MENAFZE will be able to offer virtual asset trading services and broker-dealer services to individual, qualified, and institutional investors in Dubai. Ben Elbaz, Executive Director of HashKey Global, stated, "We look forward to offering virtual asset services to retail and institutional clients in the UAE. HashKey Global is committed to fostering growth in the Middle East region, including Dubai, based on regulatory compliance."

Layer 1 (L1) blockchain focused on tokenized assets (RWA), MANTRA (OM), has announced a collaboration with UAE real estate giant DAMAC. According to a report by CoinDesk on the 9th (local time), MANTRA plans to transfer assets worth at least $1 billion to the blockchain through its partnership with DAMAC. A spokesperson for MANTRA explained, "Details of the real estate to be tokenized and the specifications to be provided will be announced in the coming weeks, and asset trading is expected to be available from early this year."

News that the United States Department of Justice has received approval to sell Bitcoin (BTC) seized from Silk Road has sparked fears of selling pressure in the market. On the 9th (local time), it was reported that the United States Department of Justice was granted the authority to liquidate 69,370 BTC (approximately $6.5 billion) seized from the Silk Road market, creating a sense of fear in the market. However, market experts predict that this amount will not significantly impact the market. In fact, when the German government sold 50,000 BTC in June 2023, it did not have a major impact on the market. Recently, Bitcoin has been facing triple challenges: cautiousness over interest rate cuts by the Federal Reserve System, heightened inflation concerns, and now the selling pressure from Silk Road's holdings. Currently, on the global cryptocurrency exchange Binance's Tether (USDT) market, Bitcoin (BTC) is trading at $91,950, down 3.67% from the previous day.

Stablecoin issuer Circle announced that it has donated 1 million USDC to the Trump Inaugural Committee. On the 9th (local time), Jeremy Allaire, CEO of Circle, stated on his X (Twitter), "We have donated 1 million dollars to President Trump's Inaugural Committee. The fact that the committee accepted a USDC donation is an indicator of how far our industry has come and demonstrates the potential and power of the digital dollar."

It has been suggested that concerns in the market are excessive following the U.S. Department of Justice's approval to sell Bitcoin (BTC) worth $6.5 billion seized from Silk Road. On the 9th (local time), cryptocurrency specialist media CoinDesk reported, "While fears of selling pressure continue as it is known that the U.S. Department of Justice has been authorized to liquidate 69,370 BTC (approximately $6.5 billion) seized from the Silk Road market, these concerns seem to be overblown." CoinDesk explained that even if the Department of Justice sells a large amount of Bitcoin on the market, an orderly sale will be conducted to ensure proper pricing, and since the market has absorbed over 1 million BTC since last September, the Silk Road volume alone will not cause a significant shock. In fact, when the German government sold 50,000 BTC in June 2023, it did not have a major impact on the market.

The cryptocurrency market is reportedly stalling due to macroeconomic conditions. On the 9th (local time), crypto venture capital (VC) QCP stated in an investor memo, "Crypto prices are being suppressed by macroeconomic headwinds. The U.S. Federal Reserve (Fed) has indicated that it may delay the pace of rate cuts due to inflation risks, exacerbating the downward trend," it analyzed. The outlook for Bitcoin prices was also pessimistic. QCP predicted, "Bitcoin prices are likely to remain weak, consolidating between $92,000 and $95,000. If it falls below $92,000, there is a possibility it could drop to $90,000."

Fidelity's U.S. spot Bitcoin (BTC) and Ethereum (ETH) exchange-traded funds (ETFs) have recorded the largest net outflows in their history. On the 9th (local time), The Block, a cryptocurrency-focused media outlet, cited Sosovalue data, reporting that the Fidelity Bitcoin ETF 'FBTC' saw an outflow of $582.9 million, while the Ethereum ETF 'FETH' experienced an outflow of $147.7 million as of the 8th. Despite the record outflows, Fidelity's ETF products still hold the second-largest cumulative net inflows, following BlackRock.

Solana (SOL), one of the major altcoins, is expected to lead the rise by 2025 due to factors like the US Exchange-Traded Fund (ETF) and retail demand. On the 9th (local time), Nansen Research analyst Nikolai Shendergaard stated in an interview with Cointelegraph, "Despite recent adjustments, Solana is likely to achieve significant financial success." Analyst Nikolai predicted that Solana would continue its bullish trend due to the profit expectations of new individual investors. He forecasted, "New investors often make the mistake of determining value and future potential through the unit price of virtual assets, and Solana's price around $200 could be quite attractive to investors." He also mentioned the anticipation surrounding the Exchange-Traded Fund (ETF). He explained, "In the crypto industry, it is expected that the Solana ETF will be approved shortly after President-elect Donald Trump takes office. Currently, five companies, including VanEck and Grayscale, are competing."

The International Monetary Fund (IMF) has urged Kenya to revise its regulations on virtual assets (cryptocurrency) to enhance consumer protection. According to a report by Cointelegraph on the 9th (local time), the IMF advised Kenya to establish a clear and predictable regulatory environment for the virtual asset market to address risks related to consumer protection, Anti-Money Laundering (AML), and Countering the Financing of Terrorism (CFT). The IMF emphasized the need for regulation, stating, "Kenya relies on outdated regulations that are limited and non-binding for the existing market, resulting in exposure to fraud and other criminal activities related to virtual assets."

Phala Network, a parachain based on Polkadot, has launched an Ethereum (ETH) Layer 2 network in collaboration with infrastructure providers Sushinnect Labs and Conduit. According to The Block's report on the 9th (local time), the newly launched Ethereum L2 network by Phala Network utilizes OP Sushinnect, which is equipped with both optimistic proof and zero-knowledge proof infrastructure. Phala Network explained, "The transition to Ethereum is to provide cryptographic computing solutions on the largest smart contract platform."

Global cryptocurrency exchange Binance has announced the launch of DAO Open Network (D) perpetual futures contracts. On the 9th (local time), Binance stated through its official channels, "We plan to offer earning, swap, margin, and futures contract services for DAO Open Network (D)." The newly listed D/USDT contract will start on the 9th at 10:00 (UTC), with a maximum leverage of 75x.